Capital Raising

Raising capital feels like a growth problem. Founders focus on valuation, investor interest, runway, and closing documents, but many of the most expensive mistakes happen because no one thinks through tax consequences before signing the deal. The ...

Overview of Section 1202 The overall purpose of Section 1202, or the qualified small business stock (QSBS) gain exclusion, is to encourage investment in qualified small businesses (QSB). When properly taken advantage of, Section 1202 creates signi...

Section 1202 provides a tax break for qualified small business stock (QSBS) by allowing shareholders to avoid paying up to 100% of the tax on the capital gain on the sale of QSBS. This capital gain would otherwise be subject to a 23.8% tax, so the...